Sales Margin Calculator

This calculator requires the use of Javascript enabled and capable browsers. This script calculates the sales retail margin from a balance sheet, trial balance or P&L statement. Select any time period; usually that is a month but a quarter or year is normal also. Expense, profit and sales information all must be derived from the same time period. Accumulate all sales revenue. This is called the Gross Sales Revenue. Accumulate all expenses related to sales; most often that is cost of goods sold and labor to sell them. Other percentages of expenses CAN be relagated to proportional expense of sales. Sometimes this is called a sales net profit but it is NOT a true net profit. Subtract the sales expenses from the gross sales amout. This yields the sales profit. Divide the sales profit by the gross sales. This yields the sales margin in decimal. Multiply by 100 to get a whole number percent.

Enter the revenue and expense figures from your financial data. Click the Calculate button; read the net profit and the profit margin. You may click on Clear Values and do another. You MAY enter a decimal for data in the revenue and expense fields but do not enter any commas or dollar signs (, or $). Sales profit and gross profit are somewhat synamous but are different from net profit. These expenses are ONLY for sales related expense while ALL expenses are taken into account with net profit.